MANUFACTURING

Case Study #
A small manufacturer of supervisory alarm and data acquisition (SCDA) has the opportunity to improve financial position through significant investment from a Fortune 500 company. The manufacturer requires business metrics and key performance indicators that will drive success while staying safely within the sustainable growth ratio (SGR) as demanded by the terms of the investment agreement. Within 180 days sales were improved by over 200%, margins improved by more than 50%. The investment was secured.

Case Study #
A foreign telecom manufacturer wants to release an IPO on NASDAQ within approximately one year. A U.S. presence is established as an operational base for exploring additional market potential pre-IPO and to expand global sales and service foot hold. The industry issues surrounding an IPO for foreign based operations are benchmarked. Specific goals and objectives are laid out as milestones. These milestones become early warning signs of obstacles to success. The IPO was aborted saving an estimated 75% of the equity value of the company over the next 3 months.

Case Study #
A $100 Million manufacturer needs usable metrics to improve performance and support reporting requirements to stakeholders. A software-enabled benchmarking process is utilized allowing the company to enter financial data, perform what-if scenarios, and produce reports that compare operating results against industry averages. Actionable items for improvement are identified and quantified. Working on margins as thin as 8% or less, every found dollar in improved performance is critical to the business’ sustained growth. This company returns to status as one of the top growth companies in the region.

Case Study #
A global manufacturer of communications devices plans to increase sales in the U.S. marketplace otherwise dominated by a single competitor. A comprehensive customer relationship management program is created to penetrate critical corporate accounts and leverage technology and time to market advantages of a new product introduction. Sales and customer training processes are created, a company-wide business development program is implemented, and operating metrics are applied. Long term strategic customers are secured resulting in $60 Million in annual sales and 50% market share for the company.

Case Study #
A Fortune 500 manufacturer of personal communications devices wants to increase sales, profitability, and market share. No distribution strategy exists for small and medium sized customers. An indirect distribution strategy is created to penetrate under-served market segments, a support team is assembled, and distribution partners are selected based on strategic objectives, marketplace positioning, and customer service capability. Distribution agreements are executed utilizing bi-lateral performance metrics as well as role and responsibility descriptions. Product sales through indirect distribution channels double from $375 Million to $750 Million within the targeted segment.

Case Study #
A Fortune 500 manufacturer of network equipment experiences consecutive years of declining sales and profitability while a smaller U.S. competitor enjoys superior sales, customer service, and market share performance. To serve customer equipment utilization requirements and improve capital expenditure efficiency, a strategic product development relationship is forged with the leading competitor. Additionally, collaboration with a highly successful intra-company manufacturing and distribution division is established to provide higher levels of support to a common customer base. Business metrics are applied to the business including sales performance, customer satisfaction and program management. Customer satisfaction, time to market, and sales profitability improve. 110% of Business Plan Objective is achieved in the first year following change management initiatives; share of wallet is increased with all critical customer accounts.

Case Study #
The owners of a privately held manufacturer of industrial products recognize that sustainable growth for the organization will require an injection of both financial and intellectual capital. Upon consideration of strategic alternatives, an intermediary is selected to market the business and liquidate portions of the management position in the company. Private equity firms are identified whose investment criteria match the dynamics of the business, indications of interest are prepared providing both the capital and senior executive infusion the client desired. A sale is consummated, new equity is available to support corporate growth, and the management team is enhanced, all to the benefit of shareholders.

Case Study #
A European manufacturer of consumer electronics products plans to establish sales and manufacturing operations in the Americas. Directors of sales operations are selected for major product categories, essential support services from the parent company are leveraged and regionalized contract manufacturing and distribution relationships are established in the U.S. and Latin America. Target markets are defined, products are re-designed for regional marketability, and distribution partners are secured. $20 Million in first year sales are achieved.

Case Study #
A publicly traded company supported financially by convertible debenture facilities requires incremental capital to fund both ongoing operations and strategic re-design of the company. Corporate and financial documents reflecting revised business projections based on new strategy for profitability and growth in shareholder value are created. A PR/IR firm is selected; a national road show program is implemented beginning in Chicago, New York and Los Angeles.

DISTRIBUTION

Case Study #
A publicly traded company owns multiple business units in product distribution and technical services sectors, only one of which generates operating income. Leveraging latent core competency and differentiating technologies while rationalizing under-performing operations, a performance measurement system and an outsourced manufacturing strategy for higher gross margins and increased product distribution are created and implemented resulting in dramatic sales improvement and a $10 Million increase in operating income.

Case Study #
A small independent dealer offering sales and service within the communications industry is challenged to improve volume and margins or risk losing product line. A new sales training and management program is developed resulting in top ten national status of dealers for the line. This system is installed at five other independent dealers for the manufacturer, four of the six dealers are named to the top ten list of dealers nationwide the following year (dealers who had the largest increase in sales and net profit year over year, ranked by comparison with dealers nationally). The manufacturer improves ranking to number two position nationally as a direct result of the performance improvement of these dealers.

Case Study #
A small food service distributor and service organization needs to convince its prime vendor that the distributor is capturing the lion’s share of the profitable business in the marketplace. Business metrics are reviewed and agreed upon between the principal and the distributor. Market research is conducted to validate the requirements of the distribution agreement. Utilizing business metrics within daily operations, the distributor not only secures the product line but achieves additional margin opportunity within the contract by substantiating a focus on PROFITABLE business. The business metrics are adopted by the principal for all distributors nationally.

Case Study #
A distributor of packaging equipment and supplies needs to improve profitability and volume in order to secure a new product line that will soon be available. The distributor is at best in the number five position of 10 similar businesses in the marketplace. The task at hand is to find key performance indicators (KPIs) and utilize them to grow revenues and profitably, and manage sustainable growth ratio (SGR) indicators so avoid additional equity or debt capitalization requirements. The distributor triples sales volumes, improves profitability, and leverages vendor terms and conditions to improve cash flow to maintain his SGR.

SERVICE

Case Study #
A regional network operator and communications service provider, the recent acquisition of a privately held nationwide operating company, requires integration and performance improvement to leverage assets and customer base. Sales, administrative, billing, and technical operations capabilities are optimized, new IT systems are implemented, and new service offerings are introduced to increase sales productivity and support customer growth. Business metrics and performance accountability measures are applied. Sustainable recurring revenue growth is achieved, operating costs are reduced, and the cash flow improvements in excess of 20% flow through to the bottom line.

Case Study #
An international investment group plans to deploy a new technology solution for telecommunications in an emerging country. A consulting firm had provided a business case supporting the viability of the investment. Recommendations lead the group to revisit the assumptions of the previously supplied business case. The primary business driver supporting the investment was identified by solid market research and analysis. Reviews of current domestic law found it would be impossible to take advantage of the business driver in the target market space. The situation was discussed with governing bodies resulting in changes to domestic law. The investors could now take advantage of global economies of scale. Investors proceeded with a revised business plan, based on executable business drivers. A $20 Million investment was made in a business model supported by two of the worlds leading solution providers.

Case Study #
A privately held network operator and service provider envisions a national footprint for high-value, low-cost personal communications services for business and consumer customers in second and third-tier markets. With venture capital and bank financing support, a core management team is formed, an aggressive acquisition roll-up strategy is executed, and highly effective organic sales growth plans are implemented. Recurring revenues and cash flows grow by over 200%, new customer activations exceed industry averages, and a successful Initial Public Offering is launched.

Case Study #
A regional accounting firm requires a way to improve the service offering and better manage relationships with clients. A benchmarking and operating metric software tool is demonstrated, adopted and supported by training resources. The firm now provides value added reporting metrics to their clients across the entire dash board of small business issues, including ROAI, SGR, NPG, and Valuation. The firm has found new sources of revenue and enhanced relationships with the client.

RETAIL

Case Study #
A top ten computer retailer is looking to capture the success factors of two of its retail outlets and apply that success to 14 other outlets. Careful research and benchmarking define the success process; a pilot program confirms the finding and new policies and procedures supported by corporate wide training improve the performance ratios at all remaining outlets. The retailer moves up the top ten list of outlets in the category two rungs within 90 days of the training program conclusion delivering a 30% increase in net margin.

Case Study #
A top ten art retailer wants to sell the business to a Fortune 500 investor. The investor wants proof that the business is sustainable beyond the influence of the entrepreneurs who created it and maintained it. Focus on the key performance indicators for growth and success lead to the development of an algorithm for stocking the retail stores that reduces inventory SKUs by 45% and increases sales by 30% with an improved margin increase of 12%. Other business policies for stocking, display, sales procedures, store personnel training, selection and scheduling are carefully documented and then piloted beyond the entrepreneur’s involvement. Focus groups and market research identify Leading Performance Indicators (LPI) suggest store re-naming and category up scaling will improve profitability. Investors reduce the anticipated time between LOI and acquisition and close the deal at a premium based on profit margin increases of 34%

Case Study #
A regional provider of a high-value, low-cost communications service in B-to-B segment wants to grow revenues and penetrate new market segments. A comprehensive distribution strategy is designed that establishes both direct and indirect channels, utilizes strategic relationships with other service providers to expand product offering, and increases measurable penetration in both business and consumer market segments. Sales teams are created to serve distinct market segments and retail presence is established in multiple markets to support both business and consumer customers. Recurring revenues increase by over 200%.

Case Study #

A licensee holder has gained an early adopter advantage in a developing country.  They wanted to engage the best solution for the opportunity.  We developed language and cultural appropiate consumer surveys that provided direction and insight into the pent up demand and the precieved value of any service offering.  We worked with in country suppliers to leverage rapid growth and applied professional services in mentor roles to grow local knowledge and experience.  The result was a six month development BOT, where the license holder was able to leverage their value and position into a live solution that profited all concerned.  This developing opportunity was fast tracted to profitability because of careful planning and a clearly defined exit strategy.